The Challenge during Transition
Establishing headquarters in a foreign country are fraught with several challenges. Some of these challenges include the burden of understanding new legal requirements. Some international laws pose a great restriction on foreign businesses. Besides, canon will have to deal with three different legal frameworks in managing its operations. This will limit the level of the cooperation between the three headquarters. Secondly, Canon will have to face new cultural organization, which is often a challenge to new companies establishing in foreign lands (Longenecker, Petty, Palich & Hoy, 2013). Finally, the work environment and experiences of workers in the three headquarters will always be a conflict, and the cost of management to bring the three departments at par with each other will be very high (Ambos, n.d). The workers' experience, skills, and work conditions will generate different results which will cause one headquarter to be ahead of another. These challenges can hinder the performance of the firm and create additional problems, which may cause canon to close one or its entire headquarters.
Managing the Challenges
To overcome these challenges, Canon must confront the challenges independently. On the question of legal frameworks, the headquarters will have to align with the established rules. The compliance is mandatory in international business. Therefore, the firm will have to structure their operations to benefit from the compliance laws (Choi & Hartigan, 2008). Secondly, canon should conduct a study of the cultural structures in the respective areas. This will influence how the management relates to employees and employee expectations at the workplace. Finally, the firm requires a comprehension of the employee abilities and the environmental factors affecting their performance. Then, the operations in various countries should be conducted, as much as possible, along with the areas they agree and work to share information and experience to improve the various headquarters.
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References
Ambos, B. (n.d). Parenting advantage in the MNC . Retrieved from https://www.youtube.com/watch?v=SQEyYSqicyc
Choi, E. K., & Hartigan, J. (2008). Handbook of international trade: Economic and legal analyses of trade policy and institutions (Vol. 4). New York, NY: John Wiley & Sons.
Longenecker, J., Petty, J., Palich, L., & Hoy, F. (2013). Small business management . New York, NY: Nelson Education.